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Toyota, Mazda get an Alabama welcome for $1.6 billion plant

MONTGOMERY, Ala. — Toyota and Mazda confirmed Wednesday they will build a $1.6 billion joint venture assembly plant in Alabama that will employ up to 4,000 workers, a boost for President Donald Trump who wants automakers to expand U.S. production. Toyota President Akio Toyoda and Mazda President and Chief Executive Officer Masamichi Kogai joined Alabama Gov. Kay Ivey in Montgomery at an event to confirm the decision. "Welcome to sweet home Alabama," Ivey said to the two executives, after saying that the anticipated 4,000 workers at the plant to be built in Huntsville would earn an average of $50,000 a year. The plant will produce 300,000 vehicles a year and should open on a 2,500-acre former cotton field in 2021, about 14 miles from Toyota's engine plant in Huntsville. Toyota plans to build Corolla cars at the plant, while Mazda will build crossover SUVs. "Together, I am confident we will create yet another 'Built in America' success story," Toyoda said. Alabama will provide tax incentives. Officials said the state tax incentives were worth $370 million, but they did not disclose how much the local incentives were worth. Huntsville Mayor Tommy Battle said the plant will "provide jobs for decades to come for Huntsville and Alabama. It vaults Alabama to the top as an industry leader in producing the next generation of cars that will power our nation." Among U.S. states, Alabama is already the fifth largest producer of cars and light trucks. The state has more than 150 major auto suppliers and 57,000 automotive manufacturing jobs. Two decades ago, Alabama spent an estimated $250 million to woo Daimler AG's Mercedes-Benz to put an auto plant in Tuscaloosa, sparking the birth of auto production in the state. In September, Daimler said it would invest $1 billion to expand its Alabama Mercedes-Benz plant to start building electric sport-utility vehicles there from about 2020. Alabama is also home to assembly plants operated by Honda and Hyundai. A Kia assembly plant operates near the Alabama border in Georgia. Mazda and Toyota said they still need approvals and authorization by antitrust agencies for the new joint venture. They announced a capital alliance in August and plans to jointly develop technology for electric vehicles. Trump tweeted in March he wanted "new plants to be built here for cars sold here." Many automakers have announced expansions of facilities or new jobs but no other new U.S. auto plants have been announced. U.S.

Subaru to stop building Camry for Toyota in the US

It was back in 2007 that Subaru of Indiana Automotive, under contract from Subaru minority shareholder Toyota, built the first Toyota Camry at its plant in Lafayette, Indiana. Rumblings of the end of that contract work have been around for a while, as Subaru talked of expanding capacity to build more units and add a line for the Impreza, and Toyota talked of moving Camry production to its Georgetown, KY plant. The news was official internally last November when SIA Executive Vice President Tom Easterday told the Louisville Courier-Journal that Camry production would end. Now, Automotive News reports that both automakers have admitted publicly that the end will come in 2016.
SIA currently has a 170,000-unit capacity devoted to the home-brand Legacy and Outback models, while a $400-million expansion increases that to 300,000 units to prepare the facility for Impreza production in two years. Freeing up the 100,000 units of production devoted to the Camry means a 400,000-unit capability, which is far more than Subaru needs at the moment, but the Toyota exit will allow it to expand any way it sees fit. Subaru has said it will absorb the workers on the Camry line and no jobs will be lost, the mayor of Lafayette saying the development could change the timetable for the expansion.

2016 Toyota RAV4 Hybrid electrifies with updated styling, more tech

Since the launch of the Prius, Toyota has been closely identified with hybrids and electrification. However outside of the rather niche RAV4 EV, the company hasn't brought the efficient tech to the smallest crossover in its US range. That all changes with the debut of the 2016 RAV4 Hybrid at the 2015 New York Auto Show, and the crossover launches alongside a thoroughly refreshed RAV4 lineup. Similar to the Lexus NX 300h, the RAV4 Hybrid combines a 2.5-liter, four-cylinder engine running on the Atkinson cycle and an electric motor, and both axles get power thanks to the standard Electronic On-Demand All-Wheel-Drive System. Toyota is keeping the exact technical specs about the CUV a secret until closer to the fall launch but admits the hybrid setup offers more than the 176 horsepower in the internal combustion model. The electric assistance means quicker acceleration and better fuel economy, as well. Beyond just the availability of the hybrid powertrain, the 2016 RAV4 gets sharper, more aggressive styling. The changes start at the nose where the foglights are recessed in the front bumper, and the design draws the eye across the lower grille. There are also reshaped lights at the rear and a redesigned lower bumper with silver skid plate trim. Inside, the improvements include niceties like better material quality, an added USB port up front and cupholders for tall mugs. While the styling looks great, Toyota is also seriously upgrading the available tech for its strong-selling CUV. Buyers can spec a full array of LED lighting, including the headlights, running lights and taillights. There's also the new Toyota Safety Sense suite that adds pre-collision braking, lane departure warning radar cruise control and more. For help with parking, the company has the four-camera Bird's Eye View Monitor, as well. The RAV4's trims carry over and get a new addition called the SE. Its biggest features are a retuned sport suspension, 18-inch wheels, contrasting exterior trim and a black headliner. It also comes fairly loaded with features with the aforementioned LED lights. With all of these changes, Toyota is continuing to take the crossover market seriously. Look forward to live images of the upgraded RAV4 from the Big Apple in the near future.